The Gingham Company's budgeted income statement reflects the following amounts: Sales Purchases Expenses January $ 124,000 $ 82,000 $ 24,400 February 114,000 70,000 24,600 March 129,000 85,250 27,400 April 134,000 88,500 29,000 Sales are collected 50% in the month of sale, 25% in the month following sale, and 24% in the second month following sale. 1 percent of sales is uncollectible and expensed at the end of the year. Gingham pays for all purchases in the month following purchase and takes advantage of a 2% discount. The following balances are as of January 1: Cash $ 92,000 Accounts receivable * 62,000 Accounts payable 76,000 *Of this balance, $31,000 will be collected in January and the remaining amount will be collected in February. The monthly expense figures include $5,400 of depreciation. The expenses are paid in the month incurred. Gingham's expected cash balance at the end of January is:

$90,200.

$86,120.

$95,600.

$91,520.

$110,520